FSR Climate Annual Conference 2015

From 22 October 2015 to 23 October 2015

The FSR Climate 2015 Annual Conference focused on the economic assessment of European climate policies.It covered the main climate-related existing policies at EU, national and subnational levels and included the following sessions, each of them with an invited speaker:

Renewable policies: Mario Ragwitz (Fraunhofer ISI, Germany)
EU ETS: Claudio Marcantonini (FSR Climate, EUI)
Carbon/energy taxes: Ian Parry (International Monetary Fund)
Energy efficiency policies: Massimo Filippini (ETH Zürich, Switzerland)

Martin Weitzman (Harvard University, USA) gave the keynote speech.

As part of the conference a Round Table on the Distribution of Costs of Climate Change Impacts and Policies took place on 22 October, from 17.00-19.00 at the Palazzo Guadagni Strozzi Sacrati (Presidenza Regione Toscana). See the recording of the round table.

Download the programme.

Audio Interviews

Papers/Presentations

DAY 1

Plenary presentation: Renewable energy policy Mario Ragwitz, Fraunhofer ISI

Session 1: Renewable energy policy

Ex-post assessment of carbon abatement and revenue effects of wind energy penetration (PAPER) Jan Abrell, Mirjam Kosch (ETH), Sebastian Rausch

Electricity imports from large-scale photovoltaics to Europe: distributional implications for Europe, Middle East and North African regions (PAPER) Birgit Bednar-Friedl, Iris Grossmann, Wolf Grossmann, Stefan Nabernegg (University of Graz), Thomas Schinko

Network transmission versus demand response: what is the impact on renewables? An application to Ireland and France (PAPER) Sean Collins, Paul Deane, Valeria Di Cosmo (Trinity College Dublin)

Session 2: EU ETS

Combining prices and quantities pollution controls under partitioned environmental regulation Jan Abrell (ETH), Sebastian Rausch

Outward foreign direct investments patterns of Italian firms in the EU-ETS Simone Borghesi (University of Siena), Chiara Franco, Giovanni Marin

Installation exit in the EU ETS industrial sector Stefano Verde (EUI), Christoph Graf, Thijs Jong, Claudio Marcantonini

Plenary presentation: The EU ETS: ten years and counting Claudio Marcantonini, FSR Climate, EUI

Session 3: EU ETS

Free allocation and the endowment effect in Cap-and-Trade systems: evidence from the European electricity sector Aleksandar Zaklan (DIW)

Politics matters: regulatory events as catalysts for price formation under cap-and-trade (PAPER) Nicolas Koch (Mercator Research Institute on Global Commons and Climate Change), Godefroy Grosjean, Sabine Fuss, Ottmar Edenhofer

Absolute vs. intensity-based emissions caps for target setting: an obstacle to linking the EU ETS to Chinese national ETS? (PAPER) Yingying Zeng (University of Groningen), Stefan E. Weishaar, Oscar Couwenberg

Searching for carbon leaks in multinational companies (PAPER) Antoine Dechezleprêtre, Caterina Gennaioli, Ralf Martin, Mirabelle Muûls, Thomas Störk (Pompeu Fabra University)

Session 4: Renewable energy policy

On the economics of electricity markets with renewable energies Carsten Helm, Mathias Mier (University of Oldenburg)

The Swiss energy transition: a demand-side perspective (PAPER) Alessandra Motz (Università della Svizzera italiana), Rico Maggi

Keynote speech: Can negotiating a uniform carbon price help to internalize the global warming externality? Martin Weitzman, Harvard University

DAY 2

Plenary presentation: Energy taxation to correct external costs Ian Parry, International Monetary Fund

Session 5: Environmental taxation

A carbon tax and the risk of inequity (PAPER) Emmanuel Combet (CIRED), Frédéric Ghersi, Jean-Charles Hourcade, Camille Thubin

Solving the climate dilemma, an International carbon-price commitment promotes cooperation Peter Cramton (European University Institute, University of Maryland and University of Cologne), David MacKay, Axel Ockenfels, Steven Stoft:

“Global Carbon Pricing – We will if you will”, in review, MIT Press, January 2016 “Price Carbon – I will if you will”, Nature, 526, 315-316, 15 October 2015 [Presentation]

Carbon taxes, oil monopoly and petrodollar recycling (PAPER) Waldemar Marz (IFO), Johannes Pfeiffer

Welfare effects of carbon-based motor vehicle taxes: insights from Europe and policy implications Theodoros Zachariadis (Cyprus University of Technology), Clerides Sofronis

Session 6: EU ETS

The European Union Emissions Trading System and the market stability reserve: optimal dynamic supply adjustment Sascha Kollenberg, Luca Taschini (LSE)

Solving the clinker dilemma with hybrid output-based allocation (PAPER) Frédéric Branger, Misato Sato (LSE)

What structural reform for EU ETS? (presentation); Scanning the Options for a Structural Reform of the EU Emissions Trading System (PAPER) Stefan Schleicher (University of Graz), Angela Köppl, Alexander Zeitlberger

Energy market integration and the EU Emissions Trading System: evidence of electricity leakage Stefan E.Weishaar, Sami Madani (The Advisory House)

Plenary presentation: Impact of energy policy instruments on the level of energy efficiency Massimo Filippini (ETH)

Session 7: Energy efficiency policy

Evaluation of the EU current energy efficiency policies Paolo Zancarella, Paolo Bertoldi (European Commission) Double moral hazard and the energy efficiency gap (PAPER) Louis-Gaëtan Giraudet (CIRED), Sebastien Houde

Heterogeneity in welfare and inequality effects of the German energy transition: Residential energy demand Miguel A. Tovar-Reanos (ZEW), Nikolas Wolfing

Session 8: Renewable energy policy

Sensitivity of mitigation costs to regional and technological detail: the case of the Italian electricity sector Yiyong Cai, Gabriele Standardi (FEEM)

Should we extract the European shale gas? The effect of climate and financial constraints (PAPER) Fanny Henriet, Katheline Schubert (University Paris 1)

Keynote speakers bios

Massimo Filippini

Massimo Filippini has held a dual professorship in public economics and energy economics at ETH Zürich and the University of Lugano since October 1999. He is member of the Center for Economic Research at ETH Zurich (CER-ETH) and director of the Centre for Energy Policy and Economics (CEPE) to the ETH Zürich. He has also published several books, book chapters and more than fifty articles in peer-reviewed journals on energy economics and policy, transport economics, health economics and the economics of public services.

Claudio Marcantonini

Claudio Marcantonini is Deputy Director at the FSR Climate, EUI. He studied at University of Perugia and at MIT, where in 2009 and 2010, he also worked on the costs of electricity at the Joint Program on the Science and Policy of Global Change and at the Centre for Environmental and Policy Research and he collaborated to the Projected Cost of Electricity study of the OECD Nuclear Energy Agency and International Energy Agency. In 2010 he was consultant at the OECD Nuclear Energy Agency where he worked on the competitiveness of nuclear power under carbon pricing. Since 2011 Claudio joined the Florence School of Regulation (FSR) in 2011 as member of the THINK project which advised the European Commission (DG ENERGY) on energy policy. Since 2012 he has worked at the Climate Policy Research Unit on analysis of European climate policy.He holds a PhD in Physics from MIT and a Degree in Physics from the University of Perugia. Claudio also holds a diploma in piano from the Conservatorio di Musica di Perugia.

Ian Parry

Ian Parry is the Principal Environmental Fiscal Policy Expert in the Fiscal Affairs Department of the IMF. Prior to joining the IMF in 2010, Parry held the Allen V. Kneese Chair in Environmental Economics at Resources for the Future. He holds a PhD in economics from the University of Chicago.Parry’s research focuses on analytical and spreadsheet models to quantify for different countries the economic impacts and efficient levels of a wide range of environmental, energy, and transportation policies. Parry has published numerous papers in professional journals and is the co-author of several books on climate and energy policy.

Mario Ragwitz

Mario Ragwitz is deputy head of the department Energy Policy and Energy Markets at the Fraunhofer-Institute for Systems and Innovation Research. He is responsible for developing and evaluating policies for renewable energy and modelling energy systems with renewable sources focusing on the European Union. He has coordinated more than 25 research projects on renewable energy policy development at global, EU and national level and authored more that 40 peer reviewed scientific articles. Ragwitz acted as an expert to the German Bundestag, to the European Parliament to national governments and the European Commission. Ragwitz is honorary professor at the University of Freiburg in the field of energy and climate policy.

Martin L. Weitzman

Martin L. Weitzman is Professor of Economics at Harvard University. Previously he was on the faculties of MIT and Yale. He has been elected as a fellow of the Econometric Society and the American Academy of Arts and Sciences. He has published widely in many leading economic journals and written three books. Weitzman’s interests in economics are broad and he has served as consultant for several well-known organizations. His current research is focused on environmental economics, including climate change, the economics of catastrophes, cost-benefit analysis, long-run discounting, green accounting, and comparison of alternative instruments for controlling pollution.